GBP/JPY is expected to trade in a lower range as the pair is under pressure. The pair is consolidating on the downside and is trading below its 50-period intraday MA, which is exerting resistance on the pair. The descending 20- and 50-period MAs maintain a downside bias. The intraday RSI is below its neutrality level at 50 and lacks upward momentum. As long as the level of 182 is resistance, the pair is likely to test its previous low at 180.80 again. A break below this level would call for a further drop towards 180.30.
Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 180.80. A breakout of that target will move the pair further downwards to 180.30. The pivot point stands at 182. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 182.75 and the second target at 183.30.
Resistance levels: 182.75 183.30 184
Support levels: 180.80 180.30 179.75
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